CALCUTTA: The wade deficit will be a record Rs 12000 to Rs 14000 crores in the current year According to a study on the prospects of the Indian economy.
Exports according to the study made by a group of financial and economic analysts were unlikely to exceed Rs 28000 Crores against the original target of Rs40000crores and the revised target of Rs 36000 crores for the current year.
Imports made by the Indian economy in 1990-91 would however be around Rs 40000 crores accounting for 10% of the total gross domestic product the study said.
The improvement of the Situation in 1991-92 according to the study would depend on external variables like the extent of global recession.
Looking beyond the country’s boundary the study says that the recession in US UK Canada Australia France and Italy was likely to get worse in 1991-92 adversely affecting Indian exports to these countries.
Indian exports to the unified European Community which would materialize on January 1 1992 would decline at least in the initial stage according to the study released by a leading city-based economic and foreign exchange consultancy firm.
Article extracted from this publication >> March 29, 1991
